Firms tag plastics businesses for sale
The engineering polymer industry is starting to look like a used-vehicle lot. in advance this month, dupont said it's miles in search of a client for its engineering polymer commercial enterprise, which has annual income of $4.2 billion. And in september, dsm introduced that it is looking to divest its materials business, a polymer maker with $1.nine billion in annual income.
Two greater polymer companies can also now be hitting the market. lanxess says it is isolating its excessive-overall performance substances commercial enterprise as a stand-on my own agency. that type of maneuver is regularly practise for a sale. and trinseo says it's going to launch a procedure early next yr to sell its polystyrene enterprise.
The proposed separation and divestments mirror a dynamic merger and acquisition market and a few corporations’ choice for greater slim portfolios focused on companies with vivid prospects.
Lanxess, the most recent firm to make its announcement, is taking the step after several acquisitions in biocides and preservatives. The stand-alone, high-performance polymer company will make polybutylene terephthalate, nylon 6 and 6,6, and thermoplastic composites. These polymers make up most of Lanxess’s engineering materials unit, which had $1.4 billion in sales for the first 9 months of this year. The unit also makes urethane systems.